Karlandrea Hernandez Ponce Accounting Points Karlandrea Hernandez Ponce

Things that a business needs to make Income A product / service Good customer service Have a customer friendly website and customer assistance Lower costs Convent the customer that they have a better deal with your company.

INCOME FOR A BUISNESS  This Chart shows what is most appealing to a customers. This would help out the business grow and get more money.

Debit and credit meaning To Understand what debit and credit is one must know what there defecation is. debit: an entry recording an amount owed, listed on the left-hand side or column of an account. credit: the ability of a customer to obtain goods or services before payment, based on the trust that payment will be made in the future.

Balance between credit and debit This must be balanced or one might end up in debt that you won't be able to pay it off. This is important for your liability.

First what is Financial Statement? What are the financial statements of a business and what do they tell me? First what is Financial Statement? Financial statements are an important part of a business operation. They let business owners know where they stand currently in areas such as assets, liabilities, income and cash flow, as well as how well they've done during a just- completed fiscal year. Sorce: smallbusiness.chron.com/business-financial- statement-17217.html

HOW CAN A SPREED SHEET HELP ME PREPARE AND ANALZYSE finance ?  First what is a spreadsheet:  "spreadsheet is an interactive computer application for organization, analysis and storage of data in tabular form. Spreadsheets are developed as computerized simulations of paper accounting worksheets." Wikipedia  It helps you keep up with your assets, liberates, diet and credit. 

What doses each step in the accounting cycle accomplish? Steps of accounting  Analyze Transaction  Journalize Transaction Post Transaction Create a Trail Balance  Gather Adjust Entries  Prepare financial Statement  Journalize and Post the Adjusting Entries and the Closing Entries  Prepare a Post-Closing Trial Balance 

What the Steps of accounting do Analyze Transactions - In this step you will decide which accounts are being affected by a transaction, whether an account is increasing or decreasing, and whether to put the transaction on the left (debit) side of an account or the right (credit) side. Journalize Transactions - Once you have analyzed a transaction, you are ready to put the transaction in the journal. The journal is called the "book of original entry" because this is the first place a transaction shows up in the accounting system. The journal is kept in date order and all of the debits and credits associated with the transaction are recorded together Post Transactions - From the journal, each part of the transaction is moved from the journal to the individual accounts so that all similar transactions can be summarized. This collection of accounts is known as the general ledger. Create a Trial Balance - At the end of each accounting period, the totals from each general ledger account is placed on the trial balance so that the accountant can check to make sure that the total of all debits equal the total of all credits.

What the Steps of accounting do Prepare Financial Statements - Beginning with the income statement, you will use the trial balance to prepare the financial statements mentioned in the previous lesson. Journalize and Post the Adjusting Entries and the Closing Entries. Closing entries serve to close the income statement accounts so that they will be ready for the new accounting period. Prepare a Post-Closing Trial Balance - This serves to make sure that debits = credits and that you have balances to bring forward to the next accounting period on your permanent (balance sheet) accounts. Gather Adjusting Entries - Not all information about a business comes from the source documents. For instance, you may need to know how much you used in supplies. Once you have accounted physically for how much you had used up, you will need to enter that into accounting records through the adjusting entries